LCS.PR.A : Correction & Apology for Comment

In the post LCS.PR.A Seeks Mandate Change to Broaden Portfolio, I misinterpreted the paragraph in the press release that stated:

In keeping with industry trends over the past several years to lower investor costs and in connection with the proposed changes to the Fund, the Manager will discontinue the service fee paid to dealers based on the number of Class A Shares held by dealers’ clients of 0.40% per annum of the Class A Share net asset value beginning January 1, 2020. In addition, the management fee will not be increased for the Fund as a result of the additional work associated with the aforementioned enhancements.

I was under the mistaken impression that the manager was currently paying the fees, but this is not the case.

According to an eMail from an officer of Brompton:

Erm, no. We’re proposing to end the Class A trailer fee, but Brompton doesn’t pay the trailer fee, LCS does, so the Class A shareholders will end up with a lower MER after cancellation of this fee. No cash stuffed in pockets. I would appreciate a correction / retraction of this comment.

My apologies for my misdirected ire.

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